Apr 13 2007
Barron’s Article – Bracing for Trouble?
Barron’s had an article in the April 2nd issue on page 44 that covered the thoughts of Larry Jeddeloh, founder of an independent research service, TIS Group. Jeddeloh is calling for a 15-20% pull back this year in all indexes. He makes some valid points for why this could be coming. The usual suspects are all there, rising energy prices, slowing growth and inflation. All of that coupled with the sub-prime lending woes could spell a deeper pull back than we felt in Feb. Basically, Jeddeloh thinks the Feb pull back wasn’t deep enough and the optimism that sprung back in March is just making it worse.
I agree with that theory that people start feeling invincible when they find they can recover their losses in 2 months. That makes the risk not so scary and emotion starts beating out logic. It was perfect for me as a someone who writes [...]
Original post by Alex Fotopoulos